| Show CAL OPPOSED TO PERMANENT TAX REDUCTION Advises That Surplus Be BeI Applied to Pay Na Na- NaI National National National I Debts I WASHINGTON D December cember 8 By The Th Associated Press Pres Press Pres President I ident revealed to congress san an almost unprecedented prosper prosper- prosperous prosperous prosperous ous conditio of the th treasury In his annual budget message mes age toda today but he h again declared I against any permanent reduction In tax rates at present A surplus o u f OiS Is In Insight insight Insight sight for Cor this thil fiscal year ending June 30 and for tor the tho following year This years year's sur- sur surplus surplus sur surplus plus Is more mor than was originally estimated and despite the cut in tax rates rate of ot last list March will exceed the margin of ot last year yur by But Dut not there has been another enother yea yeas years test of the th new n revenue law and nd a sounding ot of the extent of ot the tho present Ity ity the tho th president said can It be determined hat our permanent pOlicy of ot taxation shall be Mr Coolidge discussed ed the bent bene- benefits ben fits of ot two possible means of or dis- dis disposing disposing dis disposing posing of or the th surplus surplus application tion tion- or of o It to retirement of the pUblic debt fr ir r its return to the tho and taxpayers and left lert the th th chOice en entirely I up to congress lIe Re II asked that It Ir the th latter course were wre pur- pur pursued pur pursued sued It be b accomplished by Ing ing the th taxpayers ers credit on their first t tao ti 0 payments payment of ot the th coming year TO PAY NATIO NATIONAL U DEBTS With our stIlt enormous nation nation- national national al debt amounting to nearly 19 1 a surplus can be b no em em- em cm he said since It Itcan itcan Itcan can be applied without difficulty to the reduction of ot the th Interest bear Interest bear Ing obligations of or tho tb government and thus effect a saving in Interest costs Should congress be of the opinion that the th surplus estimated for the current fiscal year ear based upon receipts expected to be ro- ro re received under the tho existing exl law Is too large then I suggest a II temporary tax reduction measure which will cut down tit this Is expected surplus by leavIng lea the tb excess In tho the pocket pocket- I Looks books pocket books of ot the th American taxpayers Stating Staling that the tho th surplus included In money previously spent by tho tb government but just now returned and which could not I notI be counted on In the th coining coming year yearth the president insisted that the tb now new I revenue law be Le given riven a a full test be- be before be before fore tore It was waa revised I Business can easily adjust Itself I to less loss expense brought about by less taxes he cautioned but It Is much moro more mor difficult to make mak an adjustment for or more mor expenses made mildo necessary by more taxes This Is particularly true tru respect to federal taxes since sine the necessity of Imposing additional taxes would arise from a decline In prosperity which would government revenue below governmental ex cx expenditures a decline which must also affect alt all taxpayers Increased taxes to meet government require require- requirements require ments would come at a time timo tim not of prosperity but of ot depression and the depression AG DEFINITE CUT for these reasons I do not ad vis ad-vis vise the th present session of or eon con congress con gr grus gress ss to reduce permanently our taxes or abolish any partIcular tax Each Kach of the th three thre reductions reductions reduction tion In taxes texes which base hav been b enacted by the tb congress inc the fiscal year of or 1921 b bavi been predicated on an assurance a that our financial condition warranted It it No such euch assurance can be b en en today as a warrant for tor future permanent tax reduction With the th experience of another years year's test of ot the tb revenue reven Ie act or of 1926 and with a II more accurate knowledge which the tho th year ar will III give of what the future has bas ha In store fr for fr a continuance of our prosperIty we w can determine what our permanent policy of ot taxation shall be b In times time of ot peace we must meet met governmental expendi expenditures tures out of or governmental reven reven- revenues Ut ues We W should not take tak by tax tax- taxation tax taxation atlon moro more mor than our ur requirements But Dut also we should not take ak less then than our r go 00 |
